A cryptocurrency wallet linked to entrepreneur Justin Sun remains blacklisted by World Liberty Financial’s WLFI token system, preventing transfers as the token’s market value continues to decline. On-chain analytics firm Bubblemaps estimates the frozen holdings have lost approximately $60 million in value over the past three months.
The decline appears tied to broader weakness in WLFI prices rather than forced selling, as the blacklist restricts any movement of the assets. Bubblemaps data indicate the wallet was restricted in September following alleged transfers of WLFI to a centralized exchange. Despite the freeze, Sun is reported to control nearly 600 million unlocked WLFI tokens through other addresses.
WLFI, a governance token positioned as a bridge between traditional finance and decentralized finance, raised more than $550 million during its presale. The blacklist has drawn attention to centralized controls embedded in the protocol, prompting investor debate over governance transparency, risk management, and the practical limits of decentralization in large-scale token projects.
